2024 (7) TMI 1456

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..... ppears to be examined. The search team also found an amount of Rs.7,47,450/- which was alleged to be not supported by invoices and accordingly, seized. Based on the statements of the employees present at that point of time and also after considering the entries allegedly found in the pocket notebook found during search, it was surmised that the said cash found was the sale proceeds of CTD bars and TMT rods by the taxpayer, which were clandestinely removed without payment of Central Excise duty. The investigation which appears to have proceeded further, however, did not find any incriminating documents other than the above, apparently found during search or the investigation thereafter. 2. It appears that as a follow-up of the investigation .....

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..... 4.2 It appears that vide letter dated 28.8.2012, the 2nd appellant - Raasi Traders appears to have clarified with regard to their earlier stand of receipt of goods in question in excess of the invoice raised. In fact, in its reply to Show Cause Notice, the 2nd appellant appears to have explained that the very book that was seized from their premises reflected the correct position, which was contrary to the stand of the department and that the officers had not recorded the actual state of affairs which was reflected in the book. The allegation of the department as to purchase of any material without bill appears to have been denied in toto; they also appear to have clarified that the invoice amount was paid by RTGS and the balance was paid .....

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..... araja Agencies, which is also supported by the statements of the employees as well as the proprietor of M/s. Nagaraja Agencies and hence, the said cash was not attributable to the alleged clandestine sale. In any case, the addition was made solely based on the statements of the employees which statements have been retracted on a later point of time. Thus, a reasonable belief that the said amount did not represent the sale proceeds of the clandestinely removed goods has to be drawn because no incriminating evidence was found during the search, and nor is there any supporting evidence to this effect. 7. With regard to the alleged discrepancy as regards the excess supply over and above the invoice to Raasi Traders, I find that the Department .....

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